Politics

Tinubu Writes NASS To Increase 2024 Budget By ₦6.2tn

Published by Tope Fakinlede on July 18th, 2024.

Tinubu Writes NASS To Increase 2024 Budget By ₦6.2tn

Tinubu Proposes ₦6.2 Trillion Increase in 2024 Budget to NASS

On January 1, 2024, President Bola Tinubu signed the N28.7 trillion 2024 Appropriation Bill into law. Recently, he has approached the Senate with a request to amend the 2024 Appropriation Act and the 2023 Finance Act, proposing an additional ₦6.2 trillion to the budget.

President Tinubu’s request, detailed in a letter to Senate President Godswill Akpabio, was presented during a Senate plenary session on Wednesday. The President cited Section 58, subsection two of the Nigerian Constitution as the basis for his request.

The letter highlighted two main allocations in the proposed amendment: ₦3.2 trillion for Renewed Hope infrastructure and other critical projects nationwide, and ₦3 trillion to cover additional recurrent expenditures. The funding is expected to come from projected federal revenue.

Additionally, President Tinubu proposed amendments to the 2023 Finance Act, aiming to introduce a one-time windfall tax on foreign exchange gains reported by banks in their 2023 financial statements. This tax would support capital infrastructure development, education, healthcare access, and public welfare programs, aligning with the administration’s renewed hope agenda.

Previously, on May 29, 2024, President Tinubu had announced plans to present a supplementary budget to the National Assembly (NASS).

As of the latest updates, the House of Representatives has advanced the Appropriation Act Amendment Bill, 2024, authorizing ₦3.2 trillion for capital expenditure and ₦3 trillion for recurrent expenditure for the fiscal year ending December 31, 2024, to its second reading. Similarly, the Bill to amend the Finance Act, 2023, to impose a windfall tax on banks, has also progressed to its second reading.